As reported on the specialized website CNBC, AT&T is about to run an agreement to sell a stake in DirecTV (DTH), U-Verse (IPTV) and AT&T TV Now (pay TV OTT) to the US investment fund TPG Capital, with whom it had already been holding talks to acquire a stake in the DTH. However, as confirmed in 2020, the transaction will not affect DirecTV’s operations in Latin America.
According to people familiar with the matter, an agreement could be announced this week, although, AT&T and TPG Capital executives declined to make comments on the negotiations. The deal values AT & T’s video business at around USD 15 billion, including the DTH’s debt, as The Wall Street Journal reported last December.
After calling for an auction for the sale of DirecTV, The Wall Street Journal in December 2020 mentioned TPG, Churchill Capital Corp. IV and Apollo Global Management as the main candidates to acquire the DTH. Also, on January 22nd, Reuters and other websites reported that TPG Capital was negotiating the transaction with AT&T.
In case negotiations are successful, DirecTV’s operations in Latin America and Sky in Brazil will continue to be controlled by Vrio Corp and owned by AT&T. As informed on its Q4 2020 results report, Vrio ended the year with almost 11 million subscribers. This way, the company has shown positive net additions once again, since, as of September 30th, 2020, it had reported a total of 10,893 million subscribers, adding 49 thousand in the last three months of the year. Another of AT& T’s projects in Latin America for 2021 is the launch of HBO Max, which, as confirmed days ago by WarnerMedia (AT&T), will take place in June. In addition, the platform’s first two Max Originals were also announced, filmed in Argentina and Mexico.